Investors start to pay attention to water risk | The Economist

Investors start to pay attention to water risk

A host of data firms with whizzy methods are helping them divine it

FROM A SMALL office in Montreal an artificial-intelligence business, Aquantix, plays sleuth for faraway investors worried about water risk. Its model combines high-resolution satellite imagery, weather-station data and regulatory documents scraped from the internet. It estimates not only how much water a business uses at its various sites but its water bill, the chances of drought or flooding in surrounding areas and the financial impact such disasters could have-all without contacting the company in question.

Firms like Aquantix are proving useful to investors waking up to water risk. At current rates of consumption, the demand for water worldwide will be 40% greater than its supply by 2030, according to the UN. Portfolio managers are realising that physical, reputational and regulatory water risk could hurt their investments, particularly in thirsty industries such as food, mining, textiles and utilities.

Live News Feed

News Feed featuring the top articles in the finance world from global publications such as Financial Times and the Economist.

Click here to view

Powered by © Neon Accelerator

From the Web

Railroads Strike a $25 Billion Merger | The Wall Street Journal

| From the web

Canadian Pacific agreed to acquire Kansas City Southern in a merger valued at about $25 billion that would create the first freight-rail network linking Mexico, the U.S. and Canada.

Read More >

Warren Buffett Would Say Do This With Your $1,400 Stimulus Check | MoneyWise

| From the web

The billionaire isn't getting a payment, but he has a strong opinion on how to use yours.

Read More >

A Fed With No Fear of Inflation Should Scare Investors | The Wall Street Journal

| From the web

Markets are only just waking up to the implications of an important shift in Federal Reserve policy.

Read More >

As Blackstone Barrels Toward Trillion-Dollar Asset Goal, Growth Is In, Value Out | The Wall Street Journal

| From the web

Jonathan Gray, Blackstone Group’s day-to-day leader, is guiding a shift at an investment powerhouse that made its name buying into undervalued companies.

Read More >
Go to Top